The Hungarian forint firmed on Tuesday after the central bank raised its collateralised loan rate, widened its interest rate corridor and said it was creating room to handle new financial market risks. The forint was up 0.53% and was trading at 366.05 per euro by 1347 GMT. The central bank raised its collateralised loan rate to 4.1% from 3.05% and raised its overnight deposit rate to 1.6% from 1.15% at its scheduled non-rate-setting meeting. read more "The central bank has just told markets that it is ready for more hikes, so the forint is up," an FX trader in Budapest said. "But the global mood needs to brighten for the forint to be able to significantly strengthen." Some market players had expected the widening of the interest rate corridor that makes room for further raises of the one-week deposit rate that the bank sets every Thursday. Hungary's central bank raised its one-week deposit rate by 40 basis points to 2.9% last Thursday. read more Long-term Hungarian government bond yields fell about 10 basis points on Tuesday, after rising in the previous session as the forint firmed and markets eyed further rate hikes, a fixed-income trader in Budapest said. The yield on the 10-year bond was around 4.35%. The Polish zloty firmed 0.53% to 4.6600 versus euroasdata showed that Polish inflation jumped more than expected in November, with the headline rate hitting a two-decade high of 7.7%, fuelling hopes of tighter monetary policy. read more The Czech crown was up 0.32% and was trading at 25.520 to the euro as third-quarter data showed that the economy fared better than expected amid supply snags and falling exports, with domestic demand boosting GDP by 1.5% quarter-on-quarter. read more The Czech National Bank is ready to continue raising rates, but not as sharply as it has done recently, Vice-Governor Marek Mora was quoted as saying in an interview with the Frankfurter Allgemeine Zeitung published on the bank's website. read more His comments come after Governor Jiri Rusnok told Reuters last week that there was no rush for further hikes. Stock markets in the region were mixed, with Prague (.PX) losing 0.87%. Warsaw (.WIG20) was 0.99% higher, while Budapest (.BUX) was down 0.46%. CEE MARKETS SNAPSHOT AT 1447 CET CURRENCIES Latest Previous Daily Change bid close hm in 2021 EURCZK= Czech crown 25.5200 25.6020 +0.32% +2.78% EURHUF= Hungary forint 366.0500 368.0000 +0.53% -0.91% EURPLN= Polish zloty 4.6600 4.6848 +0.53% -2.16% EURRON= Romanian leu 4.9513 4.9500 -0.03% -1.74% EURHRK= Croatian kuna 7.5380 7.5295 -0.11% +0.13% EURRSD= Serbian dinar 117.4900 117.5800 +0.08% +0.07% Note: daily change calculated from 1800 CET Latest Previous Daily Change close change in 2021 .PX Prague (.PX) 1351.19 1362.9900 -0.87% +31.55% .BUX Budapest (.BUX) 51344.46 51579.66 -0.46% +21.94% .WIG20 Warsaw (.WIG20) 2169.88 2148.62 +0.99% +9.37% .BETI Bucharest (.BETI) 12195.61 12195.61 +0.00% +24.37% .SBITOP Ljubljana (.SBITOP) 1227.98 1235.75 -0.63% +36.31% .CRBEX Zagreb (.CRBEX) 1982.76 1980.64 +0.11% +14.00% .BELEX15 Belgrade (.BELEX15) 810.12 812.37 -0.28% +8.22% .SOFIX Sofia (.SOFIX) 613.99 622.22 -1.32% +37.20% Yield Yield Spread Daily (bid) change vs Bund change in Czech Republic spread CZ2YT=RR 2-year 2.7880 0.0030 +356bps +2bps CZ5YT=RR 5-year 2.7290 -0.0480 +337bps -3bps CZ10YT=RR 10-year 2.5690 -0.0260 +292bps +0bps Poland PL2YT=RR 2-year 2.7590 -0.0970 +353bps -9bps PL5YT=RR 5-year 3.1680 -0.1360 +381bps -12bps PL10YT=RR 10-year 3.1790 -0.0280 +353bps +0bps FORWARD 3x6 6x9 9x12 3M interbank Czech Rep 3.78 3.77 3.65 3.19 Hungary 4.45 4.50 4.45 3.33 Poland 2.78 3.05 3.07 1.99 Note: FRA quotes are for ask prices **************************************************************